No, you don't do any calculation for the passive loss carryover. There is no breakdown between operating expense and depreciation. Report the income and expenses in the current yea as usual. Be sure your passive loss carryover is recorded in the 2024 tax return. If your income is over the threshold again this year, any amount of passive loss will continue to carryover until you can use it up or until the property is sold.
- Any passive activity loss (PAL) carryforwards allowed would be listed on your Form 8582, Worksheet 5 or 6, in your 2023 tax return as 'unallowed loss'. If you have a PAL and it does not seem to be populated in your 2024 tax return you can take the following steps to enter it.
- Use the magnifying glass to Search (upper right) > Type rentals > Jump to Rentals > Select Edit beside your Rental Activity > Under Less Common Situations > Review Carryovers, limitations, at risk info, etc. > Continue to enter your passive loss carryover.
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